SBP launches remittance reward scheme

Market-based drive offers Rs16b annual prizes to remitters

KARACHI:

State Bank of Pakistan (SBP) Governor Jameel Ahmad on Friday inaugurated the Pasban Remittance Reward Scheme, offering Rs16 billion in annual cash prizes to encourage overseas Pakistanis to send remittances through formal banking channels.

Launched under the auspices of the Pakistan Banks Association (PBA), the scheme is fully funded by the banking industry and will not impose any burden on the national exchequer.

Speaking at the launch ceremony, Ahmad said the initiative had been developed with the government and banking industry as a sustainable, market-oriented mechanism to attract workers' remittances through formal channels. He said remittances were vital for millions of Pakistani families, supporting household spending, education, healthcare, investment and economic opportunities.

The governor highlighted the improvement in Pakistan's external position, noting that the SBP's foreign exchange reserves had risen from below $3 billion in February 2023 to $21.4 billion. He said the recent buildup in reserves had primarily been supported by foreign exchange purchases from the market rather than external borrowing.

Workers' remittances reached a record $41.6 billion in FY26, compared with $21.7 billion in FY19, nearly doubling over the period, he added.

Under the Pasban scheme, a beneficiary receiving remittances equivalent to at least $100 each month for three consecutive months in a quarter will qualify for digital entries. Higher remittance amounts will generate additional entries proportionate to the amount received.